The Liquidity Ratio (Liquid Assets divided by Total Assets) stood at 26.6% as of 30 June 2017, down from 27.2% as of the beginning of the year.

Total Liabilities reached AMD 194bn, recording YTD growth of 0.7%.

“The bank has a well-diversified liabilities structure with 55.7% of liabilities being customer deposits and 27.6% loans received from IFI’s,” the bank noted.

Inecobank’s Total customer deposits stand at AMD 108bn as of 1H 2017. 77.6% of customer deposits are retail deposits, while 22.4% are corporate and institutional deposits.

The bank also informed that the asset quality is improving, having reached the level of 2014-2015. The NPL ratio is 6.0% in 1H 2017, improving by 0.2 percentage points from 1H 2016. The NPL coverage ratio stands at 60.4%.

Total Shareholders’ Equity as at 30 June 2017 equaled AMD 46bn, up by 5.6% from YE 2016.

“The Capital Adequacy Ratio as per the current CBA normative stands at 15.4%. All Armenian banks are required to be compliant with a minimum normative capital of AMD 30bn and capital adequacy ratio of 12%. The Bank was compliant, as of 30 June 2017, with all prudential ratios,” Inecobank stated.

Net Interest Income increased in 1H 2017 by 12.7% y-o-y to AMD 7.5bn. Total Operating Income in 1H 2017 reached AMD 9bn, an increase of 10.4% y-o-y.

“Our cost-cutting efforts resulted in 9.5 percentage point decrease in the Cost/Income Ratio, from 39.8% in YE 2016 to 30.4% in 1H 2017. Total operating Costs reached AMD 2.8bn a 16.1% y-o-y decrease,” the bank added.